Credit union shells out $25M for loyalty
A Michigan credit union is starting off the New Year by rewarding its members for their loyalty.
DFCU Financial, a Dearborn-based Michigan credit union, announced yesterday it returned nearly $25 million to more than 100,000 members through the DFCU’s Cash Back loyalty reward program and broke its previous record of a $24 million payout last year.
The annual return is intended to recognize member contributions and loyal patronage to DFCU Financial and this year’s payout of $25 million is about half of the credit union’s total income for 2015.
Mark Shobe, president and CEO of DFCU, said their credit union members made 2015 a great year and it’s important they share in the success.
“As we continue to grow in communities across the Detroit, Ann Arbor, Grand Rapids and Lansing areas, it’s important to us that we thank our members for their loyalty,” said Shobe. “As we look ahead to continued expansion in 2016, our team remains focused on providing the education and support to help our members make sound financial decisions.”
DFCU launched its annual loyalty program in 2006 as a way of rewarding qualified members with a 0.50 percent return on their average yearly loan and deposit balances from the previous year.
For members under the age of 17, individuals must have an average yearly loan and deposit balance of at least $100, while those aged 18 through 25 are required to have a combined balance of $1,000. Individuals aged 26 and older need to have a combined balance of at least $5,000 and business members are required to have a balanced of $25,000. Each qualified member is eligible to receive a minimum of $50.
Since the program was established about a decade ago, DFCU has paid out more than $206 million to its members.
DFCU Financial was originally established as the Ford Engineering Employees Federal Credit Union in 1950, before changing its name in 2003. While headquartered in Dearborn, the credit union has grown to operate 25 full-service offices in Detroit, Grand Rapids, Lansing and Ann Arbor.
The credit union anticipates expanding its network during 2016 by opening new branch locations in Birmingham, Clinton Township, Ypsilanti and Taylor.